CALGARY, May 23, 2012 /CNW/ - Bengal Energy Ltd. (TSX: BNG) ("Bengal" or the "Company") is pleased to announce that the 2012 Cuisinier drilling campaign on the Barta Block portion of ATP 752P in the Cooper Basin, Australia, has commenced with the first of four wells spud on May 20, 2012. The first three wells in the program are all appraisal wells targeting the oil bearing sands within the Cretaceous Murta Member within the Cuisinier field. Each of these three well locations is located on 3D seismic in areas where the seismic attributes are consistent with well-developed Murta sands. The fourth well in the program (Cuisinier North 1) is a step out well located approximately 2.95 km north of Cuisinier 1. This well is located on a 4-way structural closure which, in addition to testing the Murta, will also test the Jurassic Birkhead/Hutton formations. These Jurassic formations are the main producing horizons in the Cook oil field situated 5.9 km to the south east of Cuisinier North 1. The Cook field has produced over 2.5 million barrels to date.
The 2012 appraisal drilling program is following the 100% success of the first four wells previously drilled at Cuisinier with the last of these four wells, Barta North 1 awaiting tie-in and first production. The operator is seeking regulatory approval for the granting of a production permit for Cuisinier 1 that it hopes to have in place by early June 2012, allowing for recommencement of production from this well at that time.
Bengal has a 25% working interest in the Barta block, ATP 752P.
This non-operated Cuisinier drilling program will be followed by Bengal's 100% operated drilling campaign at Tookoonooka, ATP 732P, which Bengal expects to commence in July 2012.
Bengal Energy Ltd. is an international junior oil and gas exploration and production company with assets in Australia and India. The Company is committed to growing shareholder value through international exploration, production and acquisitions. Bengal trades on the TSX under the symbol BNG. Additional information is available at www.bengalenergy.ca.
This news release contains certain forward-looking statements or information ("forward-looking statements") as defined by applicable securities laws that involve substantial known and unknown risks and uncertainties, many of which are beyond Bengal's control. These statements relate to future events or our future performance. All statements other than statements of historical fact may be forward looking statements. The use of any of the words "plan", "expect", "prospective", "project", "intend", "believe", "should", "anticipate", "estimate", or other similar words or statements that certain events "may" or "will" occur are intended to identify forward-looking statements. The projections, estimates and beliefs contained in such forward looking statements are based on management's estimates, opinions, and assumptions at the time the statements were made, including assumptions relating to: the impact of economic conditions in North America, Australia, India and globally; industry conditions; changes in laws and regulations including, without limitation, the adoption of new environmental laws and regulations and changes in how they are interpreted and enforced; increased competition; the availability of qualified operating or management personnel; fluctuations in commodity prices, foreign exchange or interest rates; stock market volatility and fluctuations in market valuations of companies with respect to announced transactions and the final valuations thereof; and the ability to obtain required approvals and extensions from regulatory authorities. We believe the expectations reflected in those forward-looking statements are reasonable but, no assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits that Bengal will derive from them. As such, undue reliance should not be placed on forward-looking statements. Forward-looking statements contained herein include, but are not limited to, statements regarding: the 2012 Cuisinier drilling program, including the number of wells, timing thereof and the targeted zones; the tie-in of and commencement of production from the Barta North-1 well; the approval, including the timing thereof, of the production permit for Cuisinier 1; and the drilling plans for ATP 732P. The forward looking statements contained herein are subject to numerous known and unknown risks and uncertainties that may cause Bengal's actual financial results, performance or achievement in future periods to differ materially from those expressed in, or implied by, these forward-looking statements, including but not limited to, risks associated with: the failure to obtain required regulatory approvals or extensions; failure to secure required equipment and personnel; changes in general global economic conditions including, without limitations, the economic conditions in North America, Australia, India; increased competition; the availability of qualified operating or management personnel; fluctuations in commodity prices, foreign exchange or interest rates; changes in laws and regulations including, without limitation, the adoption of new environmental and tax laws and regulations and changes in how they are interpreted and enforced; the results of exploration and development drilling and related activities; the ability to access sufficient capital from internal and external sources; and stock market volatility. Readers are encouraged to review the material risks discussed in Bengal's Annual Information Form under the heading "Risk Factors" and in Bengal's annual MD&A under the heading "Risk Factors". The Company cautions that the foregoing list of assumptions, risks and uncertainties is not exhaustive. The forward-looking statements contained in this news release speak only as of the date hereof and Bengal does not assume any obligation to publicly update or revise them to reflect new events or circumstances, except as may be require pursuant to applicable securities laws.
In this new release, Bengal has provided information with respect to certain production information for lands surrounding ATP 752P which is "analogous information" as defined applicable securities laws. This analogous information is derived from publicly available information sources available as of the date hereof, which Bengal believes are predominantly independent in nature. Bengal is unable to confirm that this information was prepared by qualified reserves evaluators or auditors or that it was prepared in accordance with the Canadian Oil & Gas Evaluation Handbook. As such readers are cautioned that the data relied upon by Bengal may be in error. Regardless, estimates by engineering and geo-technical practitioners may vary and the differences may be significant. Bengal believes that the provision of this analogous information is relevant to Bengal's activities, given its acreage position and operations (either ongoing or planned) in the area in question. This information has also been included to help demonstrate the basis for Bengal's business plans and strategies. However, readers are cautioned that there is no certainty that any of the development on Bengal's properties will be successful to the extent in which operations on the lands in which the analogous historical production information is derived from were successful, or at all, and, therefore, the analogous information may not be analogous to Bengal's properties. The analogous historical production information should not be construed as an estimate of future production levels or future resources/reserves of Bengal.
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